Projects and challenges

Growth with a positive impact

We face the challenge of reforming an economic system that has brought prosperity to many parts of the world but harms people and the environment in others. Our corporate strategy shows that we always think about these things together: As a company, we aim both to be successful in business, and to make a positive contribution to society and the environment. In this way, we enable our investors to achieve a risk-adjusted return on their green investment.

What we have achieved in our highlight projects does not obscure the challenges that lie ahead. Much can and must be done, especially on a global scale. We are in an excellent position to do so: We have not only the expertise but also the capacity at a scale that enables the sustainable transformation of large business segments.

Transformation is a long and difficult path. Like all paths, it begins with the first step. We invite you to join us as we embark on a sustainable and prosperous future.

SUSTAINABLE GLACIER PROTECTION

A second life for ice and nonwovens

Excellent engagement: Lenzing’s innovative concept combines sustainable glacier protection and recycling in textiles.

“At Lenzing, we are working hard to make our industry even more sustainable and drive the transition to a bioeconomy. That is why I am particularly pleased about the recognition of our highly innovative glacier project.”

Lenzing has developed a unique, innovative concept that contributes to the sustainable protection of our glaciers and at the same time serves as an inspiration for collective sustainable action in the textile and nonwovens industry. Global warming is dramatically accelerating glacier melting. Geotextiles are used to protect ice and snow. However, because the nonwovens used are often made from petroleum-based fibers, microplastics end up in streams, rivers, and, ultimately, in the food chain. Nonwovens made from LENZING™ cellulose fibers, which are biodegradable and fully recyclable at the end of their lifecycle, are the sustainable solution to this problem.

Lenzing is using this as inspiration for a circular economy in the textile and nonwovens industry. Together with a network of dedicated and innovative partners, we are working to transform geotextiles into new textile fibers and give them a second life as clothing. The first product was a fashionable “Glacier Jacket.” In addition to Lenzing, the network includes Marchi & Fildi Spa, a specialist in the field of mechanical recycling; Candiani Denim, a manufacturer of denim fabrics; and Blue of a Kind, an avantgarde fashion studio.

As the owner of the TENCEL™ brand, Lenzing was honored with the 2024 Biodiversity and Water Award for this initiative at the Sustainable Fashion Awards presented by the Camera Nazionale della Moda Italiana.

STRIVING TOWARDS NET-ZERO

Dedicated to every fiber

Lenzing has the highest ambitions for achieving the 1.5-degree climate target

“Our reduction targets are making a decisive contribution to staying within the 1.5-degree limit, which must be the benchmark for how we think and act as a company.”

The Lenzing Group has updated its climate targets to align its commitment to reduce the impact of anthropogenic climate change with the goals of the Paris Agreement to limit the global temperature increase to 1.5 degrees Celsius. The Science Based Targets initiative (SBTi), the leading organization in the field of climate-related target setting, has verified and confirmed this stricter target.

This makes Lenzing the first producer of regenerated cellulose fibers with a scientifically confirmed net-zero target. By 2030, Lenzing aims to have cut 42 percent of the direct emissions from production (scope 1) and indirect emissions from purchased energy (scope 2) as well as 25 percent of the indirect emissions along the value chain (scope 3) compared to 2021. In addition, Lenzing intends to achieve net-zero greenhouse gas emissions in its own production and along the entire value chain by the year 2050.

Close-to-market innovations

From research to application

As an innovation-driven company, Lenzing combines a spirit of research with an application-oriented approach. Together with our customers, we develop close-to-market products that create immediate added value for consumers. Examples in 2024 include:

• the R&D partnership with LUOLAI to develop super-soft textiles for the home;
• the new processing technology for TENCEL™ brand lyocell fibers, which offers a fossil-free alternative for the production of stretch fabrics for maximum comfort;
• the newest Black Towel Collection, made from LENZING™ ECOVERO™ branded black viscose fibers and TENCEL™ branded black modal fibers, includes sustainable high-quality personal care items for every aspect of daily life;
• the collaboration of the TENCEL™ brand with renowned labels and designers such as Reformation, GUESS, and KNWLS to continuously advance the integration of sustainable fibers in product categories such as apparel, home textiles, and outdoor products.

“Partnerships open up opportunities that would not have been available to either party alone. This is a win-win for our partners, for us, and, most importantly, for consumers.”

Expansion of nonwovens portfolio

Plastic-free and high-performing

Lenzing has expanded its LENZING™ lyocell dry fiber portfolio for nonwoven applications with two new cellulose fibers – a fine dry fiber that offers strength and softness, and a coarse dry fiber that enables improved liquid and air flow. These two innovative new products enable our customers to expand the use of alternative wood-based biodegradable LENZING™ fibers to a wider range of applications.

Ratings and awards

Frequently outstanding

Lenzing’s achievements and leading role in the sustainable transformation of the textile and nonwovens industry were once again recognized by ratings and awards in 2024. For example, Lenzing received platinum status and the highest rating in the EcoVadis CSR rating for the fourth consecutive time, placing it in the top 1 percent worldwide. CDP has once again placed Lenzing on the prestigious A-list in the “Climate Change” category in 2024, the fourth time in a row. MSCI recognized Lenzing with an “A” rating and in the global “Hot Button Ranking” of Canopy, a Canadian non-profit, Lenzing achieved first place and improved its score from 32 to 33 (out of 40) compared to the previous year, placing in the “Leading in CanopyStyle commitments” category, indicated by a dark green T-shirt. This status reflects Lenzing’s leadership in sustainability and its commitment to the highest environmental standards. Verification by the Higg Facility Environmental Module (FEM) also produced excellent results.

Lenzing sets standards in terms of social responsibility in a difficult industry. This is evidenced by the outstanding results of the Higg Facility Social & Labor Module (FSLM) for social sustainability. A recent study shows that Lenzing’s 8,000 employees create 25,282 direct and indirect jobs in the countries where Lenzing products are manufactured.

“At Lenzing, we work hard to make our industries even more sustainable and promote the transformation to a net zero economy. The many awards we have received make us proud and at the same time serve as an incentive to continue moving forward with determination!”

Social sustainability

Growing on a human and business level

In 2024, Lenzing also achieved visible successes for its employees in the area of social sustainability. This is due in part to the Employee Resource Groups (ERGs), which have positively influenced the corporate culture through multiple initiatives in their various areas. ERG Women@Lenzing, for example, promotes a working environment for women that is characterized by respect and appreciation.

Multinational companies like Lenzing are melting pots for highly different cultures. ERG Multicultural@Lenzing is committed to creating a welcoming culture for people of ethnic, national, and regional diversity. ERG PrideAlliance@Lenzing, which was established in 2024, is dedicated to LGBTQAI+ issues and is another example of our commitment to diversity and inclusion.

“Diversity and culture are fundamental pillars for the future of Lenzing and represent areas that require constant growth and attention. The value of diversity is not just an ethical or moral issue – it is a business imperative.”

SUSTAINABLE ENERGY SUPPLY

Progressive phase-out of coal

At its production site in Nanjing, China, Lenzing reached another milestone in achieving its climate targets. A natural gas-fired power plant was commissioned in 2024 with the support of local authorities and partners. This project is making an important contribution to the reduction of greenhouse gas emissions in the production process. Our goal is to have the first regenerated cellulose fiber production site in China that is completely independent of coal as an energy source. This will significantly reduce our carbon footprint.

Activate Transformation Here!

Tackling the challenges of the textile and nonwovens industry together.

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